BA pledges 48 aircraft to raise $750m loan
BA raised $750m in secured loans through a credit facility arranged by Citibank and backed by 48 aircraft as collateral. The unit of IAG pledged 40 Airbus narrow-body jets and eight Boeing wide-bodies as part of the deal, according to a filing on the UK’s Companies House website. IAG is scrambling to boost liquidity as fallout from the coronavirus pandemic threatens to depress travel markets for years to come. BA has already drawn down existing credit lines and tapped a state-backed lending program, as well as announcing 12,000 job cuts. The latest fund-raising features planes up to two decades old and is an alternative to sale-and-leaseback arrangements that normally involve newer aircraft. A number of the most modern BA jets such as A321neos and A350s are already leased. The airline and its parent declined to comment.<br/>
https://portal.staralliance.com/cms/news/hot-topics/2020-05-29/oneworld/ba-pledges-48-aircraft-to-raise-750m-loan
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BA pledges 48 aircraft to raise $750m loan
BA raised $750m in secured loans through a credit facility arranged by Citibank and backed by 48 aircraft as collateral. The unit of IAG pledged 40 Airbus narrow-body jets and eight Boeing wide-bodies as part of the deal, according to a filing on the UK’s Companies House website. IAG is scrambling to boost liquidity as fallout from the coronavirus pandemic threatens to depress travel markets for years to come. BA has already drawn down existing credit lines and tapped a state-backed lending program, as well as announcing 12,000 job cuts. The latest fund-raising features planes up to two decades old and is an alternative to sale-and-leaseback arrangements that normally involve newer aircraft. A number of the most modern BA jets such as A321neos and A350s are already leased. The airline and its parent declined to comment.<br/>
